Aston Martin CEO Andy Palmer is expected to leave the company soon as part of a management reshuffle. He would be replaced by Tobias Moers, boss of Mercedes-AMG . This is in any case what a source close to the file said on Sunday.
Aston Martin reviews the composition of its management team
Aston Martin said in a statement that it is currently examining the composition of its management team, while refusing to speak on the future of Andy Palmer within the manufacturer.
The principal and Daimler, who owns a 5% stake in Aston Martin and supplies the automaker with Mercedes-AMG engines, also declined to comment.
The Financial Times had previously announced that the boss of Aston Martin would leave the company as part of a management overhaul. Adding that an official announcement was expected Tuesday. The Anglo-Saxon newspaper said at the same time that Andy Palmer had not been informed of the upcoming announcement.
Aston Martin share plummets since its IPO
If it materializes, this departure would occur while Aston Martin has seen its share price fall dangerously since its IPO in October 2018. The British manufacturer has been confronted since that date. cash flow difficulties and large stocks of unsold vehicles in dealerships.
Aston Martin stock has fallen 60% this year and is now 89% lower than its IPO price.
Aston Martin faces serious financial difficulties
At the beginning of May, the British manufacturer announced that it had recorded a significant loss in the first quarter of 2020 after a drop in sales of almost a third, raising the impact of the coronavirus.
In January, dire financial conditions forced the company to call on Canadian billionaire Lawrence Stroll, who bought an estimated 20% stake as the struggling automaker sought to raise funds.
Last March, the company said it may need additional funds even after a £ 536 million ($ 670 million) capital injection from a group led by Lawrence Stroll. The car manufacturer then indicated that it did not have sufficient working capital on the basis of the rules of the European Financial Markets Authority, the coronavirus having created "increased and unquantifiable uncertainty" in its activities.
Our opinion, by Automotive-In
In early April, the manufacturer still bet on the DBX to boost its sales. While the coronavirus pandemic could certainly greatly reduce demand, Aston Martin had all the same stated that its order book remained large, containing more than 2,000 commitments for the DBX SUV. The company expects the sales of the model to be higher - in volume ... - than those of its sports cars.
Deliveries of the DBX were to begin in the summer and to compete with prestigious brands such as the Urus from Lamborghini and the Bentayga from Bentley , which have already made a place for themselves in the ultra-luxury SUV market.
Still, there too, the coronavirus crisis could be right for the manufacturer ...
Unless the owner of Mercedes-AMG can straighten the helm of the ship caught in a very strong storm.
Sources: Reuters, Financial Times, New York Times, Bloomberg